Nvidia Enters PC Market, Sparking Competition
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Source: seekingalpha
- Product Launch: Nvidia announced that its RTX Spark Superchip will begin shipping in laptops and desktops this fall through major manufacturers like Dell, HP, and Lenovo, leading to a 1.9% premarket stock price increase, indicating a strong intent to penetrate the PC market.
- Increased Competition: Nvidia's entry has pressured traditional PC processor leaders Intel and AMD, whose stocks fell 6% and 5.2% respectively, suggesting that the market's strong reaction to Nvidia's new product could undermine their dominance in the x86 architecture market.
- Strategic Partnerships: The new chip, developed in collaboration with Taiwan's MediaTek, combines a microprocessor and graphics chip to run Microsoft's Windows for Arm operating system, which is expected to attract more PC manufacturers and further intensify market competition.
- Market Response: Following Nvidia's announcement, Lenovo gained 5.1% in Hong Kong trading, while Dell and HP saw their stocks rise by 2.9% and 4.1% respectively, reflecting investor optimism about the new product and its potential impact on the PC market.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 222.820
Low
200.00
Averages
264.97
High
352.00
Current: 222.820
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is an artificial intelligence (AI) infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. Its segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and AI solutions and software, and automotive platforms and autonomous and electric vehicle solutions, including software. The Graphics segment includes GeForce GPUs for gaming and personal computers (PCs), and Quadro/NVIDIA RTX GPUs for enterprise workstation graphics. Its technology stack includes the foundational NVIDIA CUDA development platform that runs on all NVIDIA GPUs, as well as hundreds of domain-specific software libraries, frameworks, algorithms, software development kits (SDKs), and application programming interfaces (APIs). Its platforms address four markets, which include Data Center, Gaming, Professional Visualization, and Automotive.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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